Estate Planning, Probate, & Trust Administration |
|
Estate Planning, Probate, & Trust Administration
When a person dies, there are many issues which those who survive must face: the safe-keeping and proper transfer of property, payment of bills and expenses, income taxes, death taxes, and a host of other issues. We’ve been working with families of the deceased for more than thirty years to help with those problems.
Many times, the issues are relatively simple. If a person dies with modest assets, held in joint tenancy with their loved ones, if the family is harmonious, with no disputes as to how to divide personal property items, and if all the beneficiaries of insurance and other accounts are named and survive the decedent, there may not be much “legal” work required. Income tax returns may need to be prepared, but often accountants help with that issue. If there is a will, it should be filed, but it doesn’t always have to be probated – we have worked with many families over the years, to determine whether or not a will should be probated. Our services include the following:
- Probating Wills
- Estate and Trust Administration
- Will Contests
- Ancillary Administration
- Guardianship
Probating a Will - The Final Wishes of the Deceased
A will, a “Last Will and Testament”, is a person’s written expression of how they wish their assets to be distributed upon their death. A will becomes important in situations other than the above “simple” situation – when a person owns assets that are held in their name alone, without a joint tenancy or beneficiary on death arrangement. Probating a will is the process of filing a lawsuit to advise the court that a person died with a will, and requesting the court to confirm that a particular document is the last will. An executor is appointed by the court (the executor is usually, but not always, named in the will) to carry out the terms of the will.
If a person dies without a will, their assets do not generally default to the State of Illinois – a common misperception. The closest relatives of the deceased, the “heirs”, usually receive the assets in that situation. An action may need to be brought in the probate court to determine just who the heirs are, and to get authority for an “administrator” to handle the estate, much like an executor does in a situation where there is a will.
Estate and Trust Administration
With or without a will, the estate representative (executor or administrator) gathers up the assets of the decedent, reviews and pays proper bills and expenses, files the appropriate tax returns, and delivers the remaining assets to those who are supposed to receive them.
Trust administration is similar to the above, usually without the court being involved. A trustee of a trust is usually authorized by the terms of the trust to act in the same manner as the estate representative, gathering property and paying bills, etc. We have assisted many trustees in administering trusts, at reduced expense, since there are no mandated court hearings. The courts can be involved, if family members wish to dispute the terms of the trust, or the validity of the trust, much like will contests mentioned below.
The impact of death taxes has varied widely over the years, but must always be considered. One needs to be careful, because each state and foreign country has its own rules, and if a person dies owning land in that jurisdiction, there could be a death tax payable to that jurisdiction. Most people don’t have to pay death taxes, though. The current rules are beyond the scope of this article, but we are experienced in dealing with Federal and Illinois estate taxes.
Will Contests
A will contest sometimes arises when more than one will exists, but more often, will contests involve disputes over the meaning of the words used in the will, or the capacity of the deceased person to make a will in the first place. Thankfully, will contests aren’t that common, but we have handled a variety of will contests.
Ancillary Administration
Ancillary administration involves the probate of an estate, with or without a will, in a state other than the state of residence of the deceased, and usually arises because the decedent owned land in a state other than their state of residence. We are experienced in ancillary administration matters.
Guardianship
The probate court can become involved where a person hasn’t died, but is disabled. Upon petition, usually by family members, the court can enter findings that a person can’t take care of themselves anymore, and appoint a guardian to protect them and their property. We are experienced in guardianship matters.
When a person dies, there are many issues which those who survive must face: the safe-keeping and proper transfer of property, payment of bills and expenses, income taxes, death taxes, and a host of other issues. We’ve been working with families of the deceased for more than thirty years to help with those problems.
Many times, the issues are relatively simple. If a person dies with modest assets, held in joint tenancy with their loved ones, if the family is harmonious, with no disputes as to how to divide personal property items, and if all the beneficiaries of insurance and other accounts are named and survive the decedent, there may not be much “legal” work required. Income tax returns may need to be prepared, but often accountants help with that issue. If there is a will, it should be filed, but it doesn’t always have to be probated – we have worked with many families over the years, to determine whether or not a will should be probated. Our services include the following:
- Probating Wills
- Estate and Trust Administration
- Will Contests
- Ancillary Administration
- Guardianship
Probating a Will - The Final Wishes of the Deceased
A will, a “Last Will and Testament”, is a person’s written expression of how they wish their assets to be distributed upon their death. A will becomes important in situations other than the above “simple” situation – when a person owns assets that are held in their name alone, without a joint tenancy or beneficiary on death arrangement. Probating a will is the process of filing a lawsuit to advise the court that a person died with a will, and requesting the court to confirm that a particular document is the last will. An executor is appointed by the court (the executor is usually, but not always, named in the will) to carry out the terms of the will.
If a person dies without a will, their assets do not generally default to the State of Illinois – a common misperception. The closest relatives of the deceased, the “heirs”, usually receive the assets in that situation. An action may need to be brought in the probate court to determine just who the heirs are, and to get authority for an “administrator” to handle the estate, much like an executor does in a situation where there is a will.
Estate and Trust Administration
With or without a will, the estate representative (executor or administrator) gathers up the assets of the decedent, reviews and pays proper bills and expenses, files the appropriate tax returns, and delivers the remaining assets to those who are supposed to receive them.
Trust administration is similar to the above, usually without the court being involved. A trustee of a trust is usually authorized by the terms of the trust to act in the same manner as the estate representative, gathering property and paying bills, etc. We have assisted many trustees in administering trusts, at reduced expense, since there are no mandated court hearings. The courts can be involved, if family members wish to dispute the terms of the trust, or the validity of the trust, much like will contests mentioned below.
The impact of death taxes has varied widely over the years, but must always be considered. One needs to be careful, because each state and foreign country has its own rules, and if a person dies owning land in that jurisdiction, there could be a death tax payable to that jurisdiction. Most people don’t have to pay death taxes, though. The current rules are beyond the scope of this article, but we are experienced in dealing with Federal and Illinois estate taxes.
Will Contests
A will contest sometimes arises when more than one will exists, but more often, will contests involve disputes over the meaning of the words used in the will, or the capacity of the deceased person to make a will in the first place. Thankfully, will contests aren’t that common, but we have handled a variety of will contests.
Ancillary Administration
Ancillary administration involves the probate of an estate, with or without a will, in a state other than the state of residence of the deceased, and usually arises because the decedent owned land in a state other than their state of residence. We are experienced in ancillary administration matters.
Guardianship
The probate court can become involved where a person hasn’t died, but is disabled. Upon petition, usually by family members, the court can enter findings that a person can’t take care of themselves anymore, and appoint a guardian to protect them and their property. We are experienced in guardianship matters.